A Review of the Actions of the 2008 Session of the Georgia General

Assembly

Budget Actions

FY08 Amended Budget

“POSITIVES” $109,091,946 for enrollment growth (1.09%) $7,455,432 in increased equalization grant funds for

eligible systems that raised millage rates $578,941 in “hold harmless” LFMS funds for systems

with declining tax digests $20,000,000 in equalization grant funds needed to

partially fund the $30+ million cut recommended by Governor Perdue to this program in FY09

$48 million to fund capital outlay requests in the regular, exceptional growth, regular advanced, and low wealth categories

FY08 Amended Budget, Continued

“NEGATIVES” $40 million included in Governor’s original

recommendations for technology upgrades

eliminated $25 million included in Governor’s original

recommendations for bus purchases

eliminated $1.2 million used to provide waivers for SAT/ACT

takers

eliminated

FY08 Amended Budget, Continued

“OTHER ITEMS” $300,000 formerly budgeted for teacher liability insurance

premiums redirected $240,000 cut from funds allocated for new JROTC

programs $750,000 originally allocated for an online tutorial

program cut from budget $1,590,857 cut to (finally?) eliminate the “pilot”

elementary foreign language program $330,000 cut from High Performing Principals program

(funds unused)

FY09 Budget

“POSITIVES” 2.5% pay raise (Governor had scaled his recommendation back

to 2%.) $1,337,317 for 11 new math mentor positions $10,709,167 added to complete restoration of funds needed to

fully fund FY09 equalization grant program Funding provided for 6,500 courses in Georgia Virtual School $210 million provided for increased enrollment costs and for T&E Additional $10 million in “low wealth” capital outlay funds $50 million included to be applied against austerity cuts, leaving

those cuts at $91.5 million for FY09 $900,000 for a “classroom technology project” requested by the

Lieutenant Governor (3 grants @ $300,000 each for laptops, iPods, etc.)

FY09 Budget, Continued

“NEGATIVES” Austerity cuts remain ($91.5 million) No additional funds provided for items long

under-funded in the QBE formula (e.g., transportation, textbooks, instructional materials/supplies, teacher sick leave)

Slight cut ($125,000) to RESA operational funds

FY09 Budget, Continued

“OTHER ITEMS” $260,000 for the new Georgia Charter Schools

Commission No funds provided for Governor’s proposed Very

Important Parent recruiter (VIP) initiative LFMS increases by $5 million (additional funds provided

for equalization grants and reduction of austerity cuts cause 80%-20% provision to kick in)

Classroom teacher gift cards return for another year State funds to support web-based accountability project

($800,000) discontinued $30 million for the school nurse program (unchanged)

Legislation enacted by the 2008 Georgia General Assembly

IE2 Legislation

HB1209 – “Flexibility with Accountability” First legislation to come from Governor’s Education

Finance Task Force (IE2); more to come???? Systems may enter contractual relationship with state (5-

year contracts) in which the systems request “increased flexibility” in exchange for “increased accountability and defined consequences”

Systems electing not to pursue said contractual relationship must conduct a public hearing (advertised) to announce that they are “opting for the status quo” as well as sign a DOE-furnished form to that effect.

HB1209, Continued

Systems electing to pursue contracted status must: Develop a five-year strategic plan (must include school

improvement plans for all schools in the system); Conduct a public hearing (advertised) for purpose of full public

discussion of the proposed contract; Submit the proposed contract within time frames set by DOE; Include at least one of a list of “accountability” measures set forth

in 20-2-84; Request at least one of the “flexibility” components listed in the

same code section; Agree to “consequences” for failure to meet targeted goals, which

include possible sanctions, interventions, and “loss of governance of one or more nonperforming schools;” [Exception to “loss of governance” of a high-performing school based on recommendation by OSA]

HB1209, Continued

Maximum of five systems may request contracted status in first calendar year; by 6/30/2013, all systems must make decision to contract or not.

“Other funding options” available to contract systems (and, to charter systems).

Contract option not available to charter systems. Other “goodies” included in HB1209:

Superintendents may serve concurrently in roles as principal, teacher, or another staff position (must be in contract);

Superintendents may serve concurrently as superintendent of more than one system (must be in contract agreed to by each system);

Opportunity eliminated for Title 20 waivers in areas of class size, expenditure controls, certification requirements, and salary schedules (Note: Class size waivers needed due to unexpected increases in enrollment still available during school year.)

Charter/School Choice/Home School Legislation HB881 – establishes the Charter Schools

Commission (7 members appointed by SBOE with 3 “recommended” by Governor, 2 by Lt. Governor, and 2 by House Speaker) Commission has authority to approve charter schools in

local systems, even over objection of local boards Commission may approve “cosponsors” for charter

schools and may seek grants and other funding sources for such schools

Commission charter schools receive state and federal funds plus the equivalent of local dollars for their students (Local per-student amount calculated, then deducted from QBE earnings)

Charter systems receive 3.785 percent “bonus” funds

Charter/School Choice/Home School Legislation, Continued

HB831 – the Charter School Capital Finance Act Creates the possibility for the state to “match”

private funds donated to build charter schools HB1065 – local systems may include charter

school capital needs in SPLOST referenda HB1133 – provides Georgia income tax

credits for individuals and corporations donating to “scholarship organizations” which provide tuition to private schools (“vouchers”)

Charter/School Choice/Home School Legislation, Continued

HB1277 – employees of charter schools qualify for SHBP benefits (passed General Assembly in 2007, but was vetoed by Governor Perdue)

HB969 – “Approved driver education training course” now to include a “home education program”

HB152 – Home school students qualify immediately for HOPE scholarship if scoring in 85th percentile or higher on ACT or SAT

Governance Legislation

HB1300 – Regardless of the day of the week on which a local system’s school year is scheduled to end, up to four days missed due to emergencies, disaster, etc. do not have to be made up

SB345 – Interstate Compact relating to Military Children

SR996 – CA proposing that school funds be available for use in Tax Allocation Districts (TAD); approval of local board required

Governance Legislation, Continued HB1031 – By 7/1/2008, all public high schools with

an interscholastic athletics program required to have a functional automatic external defibrillator: On site at school at all times; and, “Easily accessible” during any school-related function,

including practices and contests. [Other training and notification requirements listed in legislation]

HB426 – requires each local school system to: Annually survey established bus routes and, by 9/1 of

each year, report to Department of Transportation any rail crossing without “active warning devices;” and,

Exercise “best efforts” to minimize number of bus routes using those crossings.

Governance Legislation, Continued

HB296 – Dates for special elections (SPLOST) limited to: In odd-numbered years, the 3rd Tuesday in March and

the Tuesday after the 1st Monday in November; In even-numbered years, the presidential primary date (if

held that year), the general primary, and the Tuesday after the 1st Monday in November.

Provisions effective January 1, 2010.

HB948 – Annual Back-to-School Sales Tax Holidays (July 31 through Aug. 3, 2008)

Retirement Issues

SB327 – Retirees may return to full-time employment under these conditions: Participant must have been retired on a “service

retirement” for 12 calendar months; For school systems, participation limited to teachers,

counselors, media specialists, principals, and superintendents (RESA’s may continue to employ “school improvement specialists”);

Salary completely negotiable between retiree and employing system; and,

Employing system must pay all employer and employee contributions to the retirement system.

HB656 – Retiree may reallocate spouse’s retirement benefits after a divorce

“Odds and ends”

HB637 Removes requirement that nationally-referenced

tests be given in grades 3, 5, & 8 Allows local systems, using state funds, option of

administering tests in grades 3-8

SB474 Requires DOE to develop “model” program for

educating students re: online safety Local boards “may” incorporate course into its

instructional program

LEGISLATION THAT FAILED TO PASS

SB458 – Vouchers HB905 – BRIDGE SB506 – SHAPE SB535 – Accreditation required in law SB461 – Bullying HB962 – Additional reporting requirements re:

financial irregularities HB1286 – Schools required to close on Veteran’s

Day HR 900, HR1296, HB1244, SR20, etc. – Tax

“reform”

“Good” is the absence of “bad.”

QUESTIONS ????